ATLANTA—Atlanta's office market has come back with a vengeance. The question is, did it come back so fast that demand will outstrip supply? Possibly.

Atlanta's office market is strong and market research reports predict it will be even stronger by the end of 2015. Job growth means expanded office leases and new leases from Buckhead to the Central Perimeter and beyond. Nevertheless, office developers have been slow to break ground on new product.

GlobeSt.com caught up with Chip Roach, executive vice president and market leader for the Atlanta office of PM Realty Group, to talk about where Atlanta's office market goes from here in part two of this exclusive interview. You can still read part one: How High Can Office Leasing Rates Go?

GlobeSt.com: With dwindling class A space, larger users needing immediate space will be forced to consider class B space options. Will class C space soon be on the table?

Roach: Construction will commence in class A before any major class C absorption takes place. Class A and B tenants will cross markets to find other alternatives to avoid going down in image to a class C property. That said, if a tenant has to be in a certain area where no class A or B space exists that fits their requirements, class C could enjoy a part of the frenzy but that is an anomaly.

GlobeSt.com: With no deliveries on the immediate horizon, occupancy and rental rates are projected to continue to increase over the next 12 to 18 months. Do you expect to see more development break ground in 2016?

Roach: It will not happen immediately but by mid- to late-2016 and early 2017 we could begin to see more construction in certain major submarkets such as Central Perimeter and the Northwest. Lending is the key. If the discipline continues and interest rates do not rise then it will only be a function of demand and speculative construction will be minimal.

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